Federal Per Diem Allowances for the Continental US

The General Services Administration (GSA) is responsible for establishing the maximum per diem allowances that Federal employees are entitled to receive as reimbursement for expenses incurred while on official travel within the Continental United States (CONUS).  The policies and procedures regarding per diem are regulated by Part 301-11of the Federal Travel Regulation (FTR), entitled "Per Diem Expenses."  Below is a list of frequently asked questions regarding per diem allowances. 

What is per diem?  Per diem is an allowance for lodging and meals and incidental expenses (M&IE). The current established maximum rates may be found at http://www.gsa.gov/perdiem.  The Department of State (DOS) establishes rates for foreign areas (e.g., Russia, Aruba, Bahamas, Europe), while the Department of Defense (DOD) establishes rates for non-foreign, such as Alaska, Hawaii, Puerto Rico, and Guam. For more information on foreign rates, please visit the DOS website at http://aoprals.state.gov.  Additional information regarding non-foreign area rates can be found at the DOD Per Diem, Travel, and Transportation Allowance Committee website at http://perdiem.hqda.pentagon.mil/perdiem/.

What is the difference between non-standard areas and standard CONUS locations? GSA evaluates CONUS locations based upon frequency of Government travel. Non-standard areas (NSA) are frequently traveled to by the Federal community and are reviewed on an annual basis. Standard CONUS locations are less frequently traveled to by the Federal community and are not specifically listed on GSA's website. Currently, the standard CONUS per diem rate is $109 ($70 for lodging and $39 for M&IE).

How are lodging per diems created?  Per diem lodging allowances are based on contractor-provided average daily rate (ADR) data. The ADR is a travel industry metric that divides room sales rental revenue by the number of rooms sold in mid-range properties in an area. Specifically, per diem allowances for NSAs are based upon ADR data of fire-safe properties located only within the NSA, whereas, the standard lodging per diem allowance for CONUS is based upon ADR information of fire-safe properties located across the country not including non-standard areas.  All rates are evaluated to ensure that they provide a fair balance among the mission requirements of agencies, the needs of travelers, and the financial interests of taxpayers.

When are employees eligible for per diem? Employees are eligible for per diem when they perform official travel away from their official stations (or other areas defined by their agencies); when per diem expenses are actually incurred while performing official travel; and when they are in a travel status for more than 12 hours (see FTR § 301-11.1).

What determines an employee’s maximum per diem? The employee’s temporary duty (TDY) location determines the maximum per diem reimbursement rate. If the employee begins travel earlier in the day, but arrives at the assigned TDY lodging location after midnight, the employee may claim lodging expenses for the preceding calendar day. If no lodging is required while on official travel, the applicable M&IE reimbursement rate is the rate for the TDY location (see FTR §301-11.102).

When does an employee’s per diem start/stop? An employee’s per diem starts on the day the employee departs the home, office or other authorized point and ends on the day the employee returns to the home, office or other authorized point (see FTR §301-11.9).
 
Are taxes included in the lodging portion of the per diem? For official travel to CONUS locations and non-foreign areas, lodging taxes paid by the employee are not included in the lodging portion of per diem and are reimbursable as a miscellaneous travel expense limited to the taxes on reimbursable lodging costs. For example, if an agency authorizes its employee a maximum lodging rate of $50 per night, and the employee elects to stay at a hotel that costs $100 per night, the employee may only claim the amount of taxes on $50, as that was the maximum lodging amount authorized. As for official travel to foreign areas, lodging taxes have not been removed from foreign per diem rates established by the Department of State, and thus, separate claims for lodging taxes incurred in foreign areas are not permitted (see FTR §301-11.27). 

What if the per diem allowance is not enough? In situations where the applicable per diem is not sufficient, the employee may request reimbursement based upon actual expense authority or the conference lodging allowance.

What is the maximum amount for actual expense reimbursement?  The maximum amount that employees may be reimbursed under actual expense authority is limited to 300 percent (rounded to the next higher dollar) of the applicable maximum per diem rate. However, subject to the specific agency’s policy, a lesser amount may be authorized (see FTR §301-11.303).  There is no authority to exceed the 300 percent ceiling (see FTR § 301-11.305).

When is actual expense reimbursement warranted? Actual expense reimbursement may be warranted under the following conditions: (a) when lodging and/or meals are procured at a prearranged place such as a hotel where a meeting, conference or training session is held; (b) when costs have escalated because of special events (e.g., missile launching periods, sporting events, World’s Fair, conventions, natural disasters), lodging and meal expenses within prescribed allowances cannot be obtained nearby, and costs to commute to/from the nearby location consume most or all of the savings achieved from occupying less expensive lodging; (c) because of mission requirements; or (d) any other reason approved within your agency (see FTR §301-11.300). 

Who can authorize/approve a request for actual expense? Any official designated by the head of an agency (see FTR §301-11.301). 

When should an employee request actual expense reimbursement?
A request for reimbursement under actual expense authority should be made in advance of travel. However, subject to internal policies, after the fact approvals may be granted when supported by an explanation acceptable to the employee's agency (see FTR §301-11.302). 

What is the conference lodging allowance? The conference lodging allowance is a pre-determined maximum allowance of up to 25 percent greater than the applicable locality lodging portion of the per diem rate. Under this reimbursement method, employees will be reimbursed the actual amount incurred for lodging up to the conference lodging allowance (see FTR §301-74.7). 

Who may authorize reimbursement of the conference lodging allowance for a Government sponsored conference? The approval authority for the conference lodging allowance is the Government agency sponsoring the conference. The sponsoring agency will determine the appropriate conference lodging allowance, up to 25 percent above the established lodging allowance for the chosen location, and that rate shall be allowable for all employees of any agency authorized to attend the conference. The determination must be made by a senior agency official at the sponsoring agency (see FTR §301-74.8). 

Who may authorize reimbursement of the conference lodging allowance for a non-Government sponsored conference?  The travel approving official of a Government employee authorized to attend a non-Government sponsored conference may authorize the employee to be reimbursed for lodging expenses incurred up to the conference lodging allowance rate (see FTR §301-74.9). 

For more information, contact Cy Greenidge at (202) 219-2349 or visit:  www.gsa.gov/perdiem.